CVC Capital Partners facts for kids
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Main office at IFC 5 in St Helier, Jersey
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| Public | |
| Traded as | Euronext Amsterdam: CVC |
| Industry | Private equity |
| Founded | 1981 |
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Key people
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| AUM | €186 billion (2024) |
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Number of employees
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c. 850 (2023) |
CVC Capital Partners is a large investment company based in Luxembourg. It helps businesses grow by investing money in them. CVC manages about €186 billion (that's a lot of money!) and has helped many companies around the world.
CVC invests in businesses across America, Europe, and Asia. As of 2021, the companies CVC invests in employ over 450,000 people. CVC was founded in 1981 and has more than 850 employees. They work from 25 offices across Europe, the Middle East, Africa (EMEA), Asia, and the Americas.
In 2022, CVC was one of the biggest private equity firms globally. In 2023, they raised the largest private equity fund ever, collecting €26 billion to invest in companies.
Contents
History of CVC Capital Partners
Starting from Citicorp in the 1990s
In the early 1990s, a group of leaders at Citicorp Venture Capital in Europe decided to start their own independent company. Michael Smith and other managing directors like Steven Koltes and Rolly Van Rappard led this move. In 1993, they officially formed CVC Capital Partners.
After becoming independent, CVC raised its first investment fund. They gathered $300 million to invest in businesses. Half of this money came from Citicorp, and the rest from wealthy individuals and other investors. CVC then started focusing on larger investments in established businesses. In 1996, they raised their second fund, which was fully independent of Citibank, with $840 million.
Growing in the 2000s
By 2000, CVC had become one of the largest investment firms in Europe. In 2001, they raised their third fund, which was the biggest private equity fund in Europe at that time. Around the same time, CVC also started investing in Asia, with a $750 million fund just for Asian companies.
In 2004, CVC teamed up with another firm, Permira, to buy The AA, a British motoring association. Later, in 2007, they merged The AA with Saga.
From 2005 to 2006, CVC bought a big part of the Formula One Group. This group owns the exciting Formula One car racing championship.
In 2006, some people in the UK Parliament raised concerns about how CVC and Permira managed The AA. The AA responded that they were happy to discuss the matter. In 2007, CVC expanded into the U.S. by opening an office in New York City.
The 2010s: New Investments
In 2012, CVC sold some of its shares in the Formula One Group. In 2013, Michael Smith, one of the founders, retired. Steven Koltes, Donald Mackenzie, and Rolly Van Rappard became co-chairmen of the group.
In 2015, CVC made its first investment from a new fund called CVC Growth Partners. They invested in Wireless Logic, a company that helps machines connect to each other.
CVC also bought 80% of a gambling company called Sky Betting & Gaming in March 2015. In June 2015, they acquired Douglas AG, a German perfume retailer. Later that year, CVC opened an office in Warsaw, Poland.
In November 2015, CVC and another company bought Petco, a large pet supplies store in America, for about $4.6 billion. In 2016, CVC also acquired a German betting operator called Tipico.
In August 2016, CVC agreed to buy a 15% share in PT Siloam International Hospitals Tbk. This is one of the biggest private hospital chains in Indonesia.
In September 2016, CVC agreed to sell most of its control of the Formula One Group to Liberty Media. This big deal was worth about $4.4 billion. Liberty Media fully took over Formula One in 2017 after the deal was approved.
In October 2017, CVC acquired TMF Group, a Dutch company that helps other businesses with their rules and paperwork. In 2018, CVC bought OANDA, a company that helps people trade foreign money online. Towards the end of 2019, CVC purchased Ontic for $1.365 billion.
The 2020s: Recent Activities
In October 2021, CVC bought the Ahmedabad-based Indian Premier League cricket team, which is now known as the Gujarat Titans. In November 2021, CVC acquired Unilever's Lipton Teas and Infusions for £4.5 billion.
In July 2022, CVC sold nearly half of its share in TMF Group. Also in 2022, co-founder Steve Koltes stepped down from the firm.
CVC had planned to offer its shares on the stock exchange in Amsterdam in 2022. However, this was delayed due to market problems like rising prices and the conflict in Ukraine. The plan was postponed again in 2023. Rob Lucas became the chief executive of the firm.
In December 2023, CVC acquired a Japanese pharmacy company called Sogo Medical for $1.2 billion. In February 2024, CVC raised $6.8 billion for its sixth fund for Asia, which is its largest fund for that region so far. Donald Mackenzie, another co-founder, also stepped back from the firm in February 2024.
Finally, on April 26, 2024, CVC listed its shares on the Euronext Amsterdam stock exchange. This means that people can now buy and sell shares in CVC Capital Partners.
Notable investments
CVC Capital Partners has invested in many well-known companies, including:
- Avast: A company that makes computer security software.
- Petco Holdings Inc.: A big store chain that sells supplies for pets.
- RAC: A company in the UK that helps drivers whose cars break down.
- TMF Group: A company that helps businesses with rules and paperwork around the world.
- Gujarat Titans: A popular cricket team in the Indian Premier League.
See also
In Spanish: CVC Capital Partners para niños
